In March, I wrote about M.Y. Safra Bank’s new Online CD Specials, which are part of the Bank’s foray into internet banking. M.Y. Safra Bank has just raised the rates on all the Online CD Specials, with the 1-Year (1.48% APY), 18-Month (1.57% APY), and 3-Year (1.93% APY) being the most competitive. The Special CDs require a minimum $5k opening deposit of new money, with a stated balance cap of $250k. M.Y. Safra Bank offers a "Jumbo" version of the CD Specials that requires a minimum $100k deposit, but the APY is the same.
|2.01%||$5k||-||M.Y. Safra Bank||36 Months Online Promo CD (New Money)|
|1.67%||$5k||-||M.Y. Safra Bank||18 Months Online Promo CD (New Money)|
|1.58%||$5k||-||M.Y. Safra Bank||12 Months Online Promo CD (New Money)|
The fine print on the promotion page states,
Negotiable rates are available for deposits of more than $1 million.
CSR explained that while individual CDs are limited to a maximum $250k deposit, if four or more $250k CDs were to be opened, the APY is negotiable.
As stated in the Truth-In-Savings Disclosure (page 24), the Early Withdrawal Penalty reads as follows:
The penalty will be an amount equal to the greater of credited or 90 days interest.
The online application reads,
If funding your new accounts by electronic transfer from another financial
institution, please have ready their routing number and your account number.
giving me hope that funds from a maturing CD could be distributed in the same manner. According to CSR, the Bank’s standard practice is to issue a check upon maturity, but the funds could be sent by wire for a $20 fee.
In our conversation, CSR also mentioned that Social Security numbers are required when naming any beneficiaries.
Headquartered in New York City, M.Y. Safra Bank came into being when T. Rowe Price Group Inc., sold its Baltimore-based T. Rowe Price Savings Bank in 2013 to New York financier and banker, Jacob Safra. The sale of the Bank was prompted by new regulations affecting the banking industry.
M.Y. Safra Bank does have one full-service branch located in Manhattan on Park Avenue at 59th Street.
M.Y. Safra Bank, has an overall health grade of "A+" at DepositAccounts.com, with a Texas Ratio of 0.00% (excellent, and not a typo), based on March 31, 2017 data. In the past year, M.Y. Safra Bank has increased its total non-brokered deposits by $8.94 million, an excellent annual growth rate of 5.64%. Please refer to our financial overview of M.Y. Safra Bank (FDIC Certificate # 35154) for more details.
How the Online CD Specials Compare
When compared to the 201 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationally, M.Y. Safra Bank’s 1-Year Online CD Special APY currently ranks second.
When compared to the 144 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationally, M.Y. Safra Bank’s 18-Month Online CD Special APY currently ranks second.
When compared to the 194 similar length-of-term CDs tracked by DepositAccounts.com that require a similar minimum deposit and are available nationally, M.Y. Safra Bank’s 3-Year CD Special APY currently ranks third.
The above rates are accurate as of 6/8/2017.